Accountant vs. Turbo Tax - Tilted Forum Project Discussion Community

Cynthetiq · 03-28-2004, 06:53 AM

I use an accountant. I don't spend too much on my accountant but I net a sizeable return every year.

I was watching Suze Orman last night and she suggested the following, compare your accountant to TurboTax. Has anyone done that? Who won?

I'm planning on doing that after the tax season, I have to pick up the software now while it's in cheap unload mode.

gar1976 · 03-28-2004, 09:01 AM

Speaking as a CPA -

Depends on your return. Simple W-2, maybe some interest and dividends, sure, do it yourself.

Some rental activity, some stock sales and mutual fund sales, home purchase this year, maybe some basis/gifting issues, better have a pro look at it.

As for comparing, make sure you do the following:

When you get your return, go over it line-by-line. Don't skip items, and if you have a question but are afraid to ask for fear of looking foolish, ask.

Make sure you get them your information before 3/15. Face it, we have more time to get things done earlier in the season than for some schmo who drops something off at the last minute and expects us to spend hours on it.

Be organized ahead of time. If they send you an organizer, fill it out. Keep all your tax related info that you get in the mail during the year.

If you do the above steps, than go ahead and compare. But sometimes your accountant will catch things that software won't, and if you do it yourself later, you might not know what went into your original calcs.

Cynthetiq · 03-28-2004, 06:28 PM

One of the reasons I've not done it myself is because i worked in NYC and lived in NJ. I have a rental property in Las Vegas. This past year I bought a primary residence in NYC.

It doesn't look that easy, and the $250 I spend for the accountant also seems to be worth not having the headache.

zf0enix · 03-31-2004, 11:59 PM

I don't know how good software is at "optimizing" certain items. I did a return for a small C-corp and was able to whittle down the taxable income to 0 by adjusting how much depreciation was being taken.

Does TurboTax do stuff like that?

gar1976 · 04-01-2004, 09:48 AM

Quote:

Originally posted by zf0enix
I don't know how good software is at "optimizing" certain items. I did a return for a small C-corp and was able to whittle down the taxable income to 0 by adjusting how much depreciation was being taken.

Does TurboTax do stuff like that?

I hope by "adjusting" you were doing it to the full extent of the law

null_duality · 04-17-2004, 01:03 AM

LOL adjusting depreciation simply defers the tax paid, since that depreciation won't be around later when tax rates and inflation is gonna be higher.

ya it will benefit you this year, but next year and the year after that, hello tax bill. Still, if you're contract and working on a percentage savings, sure do it.

But you gotta be careful about the legalities, there's defintily regs about depreciation.. I'd check them if i were you.

Rodney · 04-18-2004, 02:53 PM

Through various strange circumstances, I ended up putting off my taxes 'till the last minute this year. We paid off our house last year and my rental property is long gone, so the only thing I had that was the vaguest bitweird was a same-day stock sale from NQ options from a company I had terminated from during the previous tax year. So I did it on Turbotax -- actually, the web version.

I think I left a little money on the table, but not much. Considering that I was in a hurry, and it was cheap, I have no regrets. Turbotax helped me understand what I was supposed to do with the stock sale, and all went well. For anything more complicated, though, I'd probably see an accountant, and probably will before this year is out because I'm cashing in some bonds and need advice.

03-28-2004, 06:53 AM	#1 (permalink)
Cynthetiq Tilted Cat Head Administrator Location: Manhattan, NY	Accountant vs. Turbo Tax I use an accountant. I don't spend too much on my accountant but I net a sizeable return every year. I was watching Suze Orman last night and she suggested the following, compare your accountant to TurboTax. Has anyone done that? Who won? I'm planning on doing that after the tax season, I have to pick up the software now while it's in cheap unload mode. __________________ I don't care if you are black, white, purple, green, Chinese, Japanese, Korean, hippie, cop, bum, admin, user, English, Irish, French, Catholic, Protestant, Jewish, Buddhist, Muslim, indian, cowboy, tall, short, fat, skinny, emo, punk, mod, rocker, straight, gay, lesbian, jock, nerd, geek, Democrat, Republican, Libertarian, Independent, driver, pedestrian, or bicyclist, either you're an asshole or you're not. What's the best nation in the world? DO-NATION!

03-28-2004, 06:28 PM	#3 (permalink)
Cynthetiq Tilted Cat Head Administrator Location: Manhattan, NY	One of the reasons I've not done it myself is because i worked in NYC and lived in NJ. I have a rental property in Las Vegas. This past year I bought a primary residence in NYC. It doesn't look that easy, and the $250 I spend for the accountant also seems to be worth not having the headache. __________________ I don't care if you are black, white, purple, green, Chinese, Japanese, Korean, hippie, cop, bum, admin, user, English, Irish, French, Catholic, Protestant, Jewish, Buddhist, Muslim, indian, cowboy, tall, short, fat, skinny, emo, punk, mod, rocker, straight, gay, lesbian, jock, nerd, geek, Democrat, Republican, Libertarian, Independent, driver, pedestrian, or bicyclist, either you're an asshole or you're not. What's the best nation in the world? DO-NATION!

03-31-2004, 11:59 PM	#4 (permalink)
zf0enix Psycho Location: PacNW	I don't know how good software is at "optimizing" certain items. I did a return for a small C-corp and was able to whittle down the taxable income to 0 by adjusting how much depreciation was being taken. Does TurboTax do stuff like that? __________________ One step closer to the edge...

03-28-2004, 09:01 AM	#2 (permalink)
gar1976 Custom User Title Location: Lurking. Under the desk.	Speaking as a CPA - Depends on your return. Simple W-2, maybe some interest and dividends, sure, do it yourself. Some rental activity, some stock sales and mutual fund sales, home purchase this year, maybe some basis/gifting issues, better have a pro look at it. As for comparing, make sure you do the following: When you get your return, go over it line-by-line. Don't skip items, and if you have a question but are afraid to ask for fear of looking foolish, ask. Make sure you get them your information before 3/15. Face it, we have more time to get things done earlier in the season than for some schmo who drops something off at the last minute and expects us to spend hours on it. Be organized ahead of time. If they send you an organizer, fill it out. Keep all your tax related info that you get in the mail during the year. If you do the above steps, than go ahead and compare. But sometimes your accountant will catch things that software won't, and if you do it yourself later, you might not know what went into your original calcs.

04-17-2004, 01:03 AM	#6 (permalink)
null_duality Tilted	LOL adjusting depreciation simply defers the tax paid, since that depreciation won't be around later when tax rates and inflation is gonna be higher. ya it will benefit you this year, but next year and the year after that, hello tax bill. Still, if you're contract and working on a percentage savings, sure do it. But you gotta be careful about the legalities, there's defintily regs about depreciation.. I'd check them if i were you.

04-18-2004, 02:53 PM	#7 (permalink)
Rodney Observant Ruminant Location: Rich Wannabe Hippie Town	Through various strange circumstances, I ended up putting off my taxes 'till the last minute this year. We paid off our house last year and my rental property is long gone, so the only thing I had that was the vaguest bitweird was a same-day stock sale from NQ options from a company I had terminated from during the previous tax year. So I did it on Turbotax -- actually, the web version. I think I left a little money on the table, but not much. Considering that I was in a hurry, and it was cheap, I have no regrets. Turbotax helped me understand what I was supposed to do with the stock sale, and all went well. For anything more complicated, though, I'd probably see an accountant, and probably will before this year is out because I'm cashing in some bonds and need advice.